|Month of Deduction||Quarter ending||Due date for TDS Payment through Challan||Due Date for filing of Return from the financial year 2016-17 for All Deductors||Due Date for filing of Return for the financial year 2015-16|
|*For Govt. Deductor||For Other Deductor||For Govt. Deductor||For Other Deductor|
|April||30th June||7th May||31st July||31st July||15th July|
|July||30th September||7th August||31st October||31st October||15th October|
|October||31st December||7th November||31st Jan||31st Jan||15th Jan|
|January||31st March||7th Feb||31st May||15th May||15th May|
|March||7th April||30th April|
In case you have not deposited TDS by the correct date, the following penalties are applicable:
Under Section 234E, you will have to pay a fine of Rs 200 per day (two hundred) until your return is filed. You have to pay this for every day of delay until the fine amount is equal to the amount you are supposed to pay as TDS.
For example, say that your payable TDS amount is Rs 5000 on 13th May and you pay it on 17th November (i.e. 189 days, counting 17th November). Then the calculation comes out to Rs 200 x 189 days = Rs 37800, but since this is greater than Rs 5000, you will have to pay only Rs 5000 as the late filing fee. Added to this, you also have to pay interest which is covered in the next section.
|Section||Nature of Default||Interest subject to TDS/TCS amount||Period for which interest is to be paid|
|201A||Non deduction of tax at source, either in whole or in part||1% per month||From the date on which tax deductable to the date on which tax is actually deducted|
|After deduction of tax, non payment of tax either in whole or in part||1.5% per month||From the date of deduction to the date of payment|
Note: The above interest should be paid before filing of TDS return.
Under Section 201(1A) for late deposit of TDS after deduction, you have to pay interest. Interest is at the rate of 1.5% per month from the date at which TDS was deducted to the actual date of deposit. Note, that this is to be calculated on a monthly basis and not based on the number of days i.e. part of a month is considered as a full month.
For example, say that your payable TDS amount is Rs 5000 and the date of deduction is 13th January. Say you pay TDS on 17th May. Then the interest you owe is Rs 5000 x 1.5% p.m. x 5 months = Rs 375.
"Month" has not been defined in the Income Tax Act, 1961. However, in a number of High Court cases, it has been mentioned that it should be considered as a period of 30 days and not as an English calendar month.
This amount is to be paid from the date at which TDS was deducted, not from the date from which TDS was due.
For example, let the due date of TDS payment be 7th May and you have deducted TDS on 19th April. Say you have not deposited TDS by 7th May. Then you will be required to pay interest starting from 19th April and not 7th May.
Also consider the case in which you deposit tax one month after the due date. Say you have deducted TDS on 1st August. Then the due date is 7th September. Now say you deposit tax on 8th September (i.e. one day after the due date). Then interest is applicable from 1st August to 8th September i.e. for a period of 2 months. You now have to pay interest of 1.5% p.m. x 2 months = 3%.
Equals to the amount that was failed to be deducted/collected or remitted may be imposed.
Prosecution (Sec 276B): If a person fails to pay to the credit of the Central Government,—